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Crude Oil WTI fell by about 5.4% into the New York trading session and traded back into this decade’s developing value area. The market trades at around $82.

Technically the market may find supportive buyers around prior Quarterly value close levels as the previous Year’s upper-value close level stands around $76.

The higher macro dollar and yield combination has its pressure factor on the commodities sector with the recent interest rate hike of about 75bps from the Bank of Canada might be one of the reasons for the about $5 drop in the price while a higher oil price supports the loonie.

The median-term perspective trades below the Month’s and Week’s developing value area which gives the market an additional bearish imbalanced bias.

Concerns about demand from China amid the recent Covid lockdowns might be also a reason for the lower price now.

Volatility in the New York trading opening for the oil price stood around minus 5% which was another bearish indication of the sell-off.

The monthly interval fell the fourth consecutive month lower, testing buyers around $85 or $75, depending on the development of Europe’s energy crisis and their potential price caps. 

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